so that a future sale would involve a depreciation which 

 would swallow up present and intervening profits, then the 

 investment value of his property is in question and must be 

 given fundamental consideration. 



If it is determined that the property constitutes a profitable 

 and satisfactory investment the next problem which the owner 

 must consider is whether or not he is getting the most out of 

 his investment. It may be that a given piece of property, 

 while profitable as a forest, could be cleared, and used for agri- 

 cultural or other purposes, and thus yield a greater profit. 

 If so, the forest must go, if maximum returns from the investment 

 are desired. 



Before a wise decision to clear a tract of forest and convert 

 it into agricultural lands can be made, it is necessary to know 

 whether the nature of the soil is such as will be most advan- 

 tageous for field crops that could be handled at a profit in that 

 locality, or whether it is such as might in time better support 

 an artificially or naturally replanted forest. 



In some cases the investment of the capital necessary to 

 obtain maximum results in the long run is not possible to the 

 present owner, and he must either sacrifice his forest, or hold 

 it with the practical certainty of depreciation unless it is properly 

 preserved. Under the pressure of lack of capital, a sale is 

 sometimes made at a low figure, based on present conditions, 

 while the opportunity of preservation and enhancing the value 

 through wise management, being unknown, is not figured as 

 an asset, and the owner loses heavily through lack of knowing 

 what his property is really worth. If he knew its prospective 

 value, as well as its present value, he could often sell at a premium 

 what he otherwise would give away. 



In buying property, however, the conditions are reversed, and 

 the buyer may easily make a false estimate of the prospective 

 value of a forest, and so fail to realize on the property at the 

 price he has paid for it. The buyer may also, through lack of 

 knowledge, think a price is too high, and fail to take advantage 

 of what, if he did but know it, would have proved a real oppor- 

 tunity. 



The methods of arriving at forest values, prior to the advent 

 of scientific methods of measuring, charting, surveying, tabu- 

 lating, mapping, and figuring, were not such as to commend 

 themselves to the good judgment of the modern business man 



Selling 



forest 



property 



